Lorenzo Gordon, Pandemic Loan Fraud, Missouri 2023

A former professional basketball player has been accused of fraudulently obtaining pandemic relief funds in Missouri.

Lorenzo Gordon, 40, of Chesterfield, Missouri, was indicted in U.S. District Court in St. Louis on January 17 on three counts of wire fraud and one count of theft of government money.

The indictment alleges that Gordon falsely applied for loans from the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) Program, which were intended to help businesses and their employees during the COVID-19 pandemic.

The indictment says Gordon applied for an EIDL loan for Logo Fitness LLC on June 19, 2020, falsely claiming the company had gross revenues of $96,475 in the 12 months prior to the COVID pandemic. He received a $9,000 advance and a loan of $39,200, the indictment says. On June 22, 2020, Gordon applied for an EIDL loan for Elite 50 Basketball Training LLC, falsely claiming gross revenues of $234,656 in the 12 months prior to the pandemic, the indictment says, and resulting in a $10,000 advance and a $107,300 loan. Both companies were only formed in 2020, the indictment says.

The indictment also says that Gordon applied for a PPP loan on April 16, 2021, falsely stating he was sole proprietor of Lorenzo Gordon, janitorial services. Gordon received a $20,832 loan.

Each wire fraud charge is punishable by up to 20 years in prison, a $250,000 fine, or both. The theft charge is punishable by up to 10 years in prison and the same fine.

Gordon pleaded not guilty to the charges Wednesday.

The Internal Revenue Service and the Social Security Administration Office of Inspector General investigated the case. Assistant U.S. Attorney Diane Klocke is prosecuting the case.

The indictment alleges that Gordon stole pandemic relief funds. Gordon is accused of applying for loans under false pretenses.

Defendant: Lorenzo Gordon, Charges: three counts of wire fraud and one count of theft of government money, Location: Chesterfield, Missouri, Date: January 17, Outcome: pleaded not guilty

Source: https://www.justice.gov/usao-edmo/pr/former-professional-basketball-player-accused-pandemic-loan-fraud